Menu
If you are still stuck in the whirlpool of debt, late debt payment problems which increase the debt from thousands to ten thousands and ten thousand to a million, do not run away from those problems because every problem has a solution. The solution for debtors to do is debt reconciliation negotiations with financial institutions.
Debt Reconciliation is a request for debt negotiation with creditors to help delay or stop operations caused by default such as lawsuits and confiscation, and reduce the burden of debt repayment, especially when debtors are in a lack of financial liquidity situation, and cannot pay the installment for the house or condominium.
Debt reconciliation negotiation is useful to close the horrendous interest rate opportunities, help us better plan our finances, and keep us from losing our financial credit history. Debt reconciliation is suitable for debtors with those who do not have much debt burden and are confident that they can afford to repay all of the debts.
This is a very common approach to house installments over the first three years in which we can ask for interest rate cuts to cut principal and pay debt faster. Credit cardholders can ask for a new interest rate adjustment. For example, you pay the minimum, but if you cannot afford it or the principal is not reduced at all, you can change the interest rate calculation method. Maybe combine the outstanding debt and pay installments in personal loans but they must be canceled from the right to use the card right away.
For example, we have to pay 20,000 baht per month for the monthly installment of our home, but we are not able to afford it. You can negotiate to lower the monthly installment amount because it will be a default if we still pay the same amount. This method needs to be done together with the expanded period for installment payments. This debt reconciliation is only applicable if the monthly payment amount is at least 500 baht higher than the monthly interest rate. We can request for this reconciliation for once and a lower installment period must not exceed 2 years. This will reduce monthly installments and extend the loan until the age of 70.
This method allows us to resolve or address any financial problems that occur within a period not exceeding 36 months and then pay the outstanding debt as follows:
3.1) Ask for a small payment monthly
It is suitable for people who lack income or unstable income within a certain period, but whose expenditures are so high that they cannot afford to pay installments.
3.2) Ask for payment in lump sum in installments
It is suitable for those who are burdened with other expenses, resulting in the inability to pay their house installment payments during the grace period, but can earn money to repay their outstanding debts within the specified period.
3.3) Ask to pay for all the arrears within a certain period
It is suitable for people with low or not-that-high overdue amounts, who are burdened by other expenses, so they cannot pay their house installment during the grace period, but can earn money to repay their outstanding debts within the specified period or gain income from selling high-value assets such as houses, condos, land and cars.
Each type of debt reconciliation is appropriate for each individual financial situation. The most important in choosing the appropriate approach is to assess our financial situation first, how much our income will drop, how long it will take for revenue to come back, and then consider the value of each option.
Negotiation with creditors depends on the satisfaction of both parties, terms, and conditions, duration, negotiation techniques, installment history, as well as sincerity and willingness to repay debts.
